New Mexico tipped minimum wage

In effect since January 1, 2023

$3.00 minimum cash wage

Employers can take a tip credit of up to $9.00 an hour, as long as cash wages plus tips reach the $12.00 minimum for every hour worked. An employee counts as tipped if they get more than $30 a month in tips.

Minimum wage
$12.00
Tipped cash wage
$3.00
Max tip credit
$9.00
Federal cash wage
$2.13
with $5.12 credit

Tip credit check

Enter one pay period for a tipped employee in New Mexico. The calculator shows whether tips covered the gap between the cash wage and the minimum wage, and what you owe if they didn't.

Assumes a single workweek and straight-time hours. Overtime, tip pools and service charges have separate rules.

Local tipped wages in New Mexico

PlaceMinimum wageTipped cash wage
Albuquerque$12.00$7.20
Santa Fe County (unincorporated)$15.40$4.62

Rules that apply everywhere

Federal tip rules: DOL Fact Sheet #15.

Running payroll in New Mexico?

Sources

We copy figures from official sources and re-check them against the source before every update. See our methodology. This is general information, not legal advice.